Proposed Changes with Category CII for
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1 Proposed Changes with Category CII for Current Element Name: Cultural Tourism Fund for Mid-Sized Organizations Description: supports mid-sized cultural organizations that provide programs of excellence which attract visitors and satisfy guests and residents Proposed Change Name: Tourist Development Fund for Cultural Marketing Description: program support to cultural organizations that offer high quality artistic cultural programming to appeal and satisfy to both tourists and residents. Scoring Criteria: Cultural Excellence 40 points Out-of-County Marketing 25 points In-County Marketing 10 points Organizational Stability 20 points Potential for Growth 5 points Scoring Criteria: Cultural Excellence 40 points Out-of-County Marketing 20 points In-County Marketing 10 points Organizational Stability 20 points Potential for Growth 10 points 1
2 INTRODUCTION Tourist Development Fund for Cultural Marketing Application Guidelines Category C-II In 1982, Palm Beach County levied a tourist development tax on every person who rents or lets for consideration any living quarters or accommodations in any apartment, hotel, motel, resort, condominium for a term of six months or less. A percentage (22.51%) of the first four cents levied on every dollar of such rent is to be expended on cultural arts programs in support of fine arts entertainment, events, festivals and activities that directly promote Palm Beach County. This program is described as the Tourist Development Fund for Cultural Marketing. The Cultural Council of Palm Beach County advises and administers these grants under contract with the Tourist Development Council and the Palm Beach County Board of Commissioners. MISSION The Cultural Council and the Tourist Development Council seek to strengthen Palm Beach County by expanding and promoting cultural arts programs. By funding cultural institutions that attract and satisfy residents and visitors, Palm Beach County will be more vibrant and offer an enriched quality of life. PROCESS AND EXPECTATIONS: The grant process requires the applicants to complete an online application by following these guidelines and to participate in an interview with the review panel. Applicants are expected to attend an application workshop prior to completing the application. If the applicant successfully scores a 75 or higher, a grant will be awarded. Through a grant contract and reimbursement requests, the applicant will be awarded funds for artist fees, production or exhibition costs, and/or marketing expenses to cultural organizations to produce, present, and promote artistically and culturally excellent programs. AVAILABLE FUNDS: AVAILABLE FUNDS: Organizations with operating revenues of at least $200,000 are eligible to apply for this grant program. The applicant s request amount is based on operating revenues reported in the most recent certified financial audit and is up to 10% of organizational operating revenues or $50,000, whichever is less. DEADLINE Deadline for application is Friday, April 5, 2019 for the grant period October 1, 2019 through September 30, All applications must be submitted by 11:59 p.m. on that date. There will not be an application cycle for Organizations awarded funding for the grant period will continue to be funded in the grant period, based on dollars available, pending that the organization remains in compliance with its contractual grant agreement and providing that the operating revenues do not deviate more than 15% from the established threshold. 2
3 ELIGIBILITY 1. Be a nonprofit organization, part of an organization, or unit of government which produces and/or presents a cultural program or festival. 2. The organization must maintain a working office in Palm Beach County with one or more full-time, non-seasonal paid executive staff member(s). 3. Have documented IRS nonprofit, tax-exempt status. 4. Have completed, at minimum, two years of fiscal operation as a nonprofit organization in Palm Beach County and provide independent audited financial statements with an accountant s unqualified opinion. Financial statements provided with an opinion that is other than unqualified may be accepted, subject to review by the grants panel. 5. Provide the organization s last completed independent certified financial audit which includes the auditor s opinion and which reflects at least $200,000 minimum in operating revenues. Organizations with fiscal year ends between September 30 and December 31 that are unable to provide a timely FY 2018 audit must instead provide financial statements being reviewed for the FY 2018 audit along with an auditor s letter stating the target completion date of audit. All applicants must have the FY 2018 audit submitted to the Cultural Council within six months of the applicant organization s fiscal year end in order to remain eligible for funding. Please Note: If applicant s fiscal year-end is less than six months before the panel meets and an audit is not yet available, the applicant must submit year-end financial statements accompanied by a representation letter from management and by an independent auditor s letter stating that the FY 2018 audit will be delivered to the Cultural Council by or before June 30, If audited financials show a material adverse change from the previous year s audit, the grantee s recommended award and contract will be subject to review. 6. Have registered with Guidestar.org (free account). 7. Show $25,000 or more in budgeted marketing expenses for proposed programs. 8. Match amount requested on a dollar-for-dollar basis by contributing or raising the same amount. 9. Have a board of directors composed at least one-third of Palm Beach County residents which meets on a regular basis, at least once per quarter. 10. Obtain by July 1, 2019 a Certificate of Liability Insurance which verifies (1) general liability coverage with limits of not less than $500,000 each occurrence and (2) Palm Beach County Board of County Commissioners as additional insured. Insurance coverage must be in effect from October 1, 2019 September 30, Said Certificate of Insurance shall provide for thirty (30) days written notice to the County prior to any material change or cancellation of coverage thereunder. 3
4 11. Commit to participate in the Cultural Council s standardized biennial Audience Survey program once the grant period begins. The organization will commit resources to distribute and collect surveys (preferably by trained volunteers or staff) and input the data into a collection tool that will enable the organization to share its results with the other organizations in the field. The Audience Survey program must be conducted for the entire period October 1, 2020-September 30, Organizations will be subject to a grant reduction of 15% if reports or survey data were submitted after the due date. LIMITATIONS Applicant organizations may submit only one application. Organizations approved for funding will receive grant disbursements through a quarterly reimbursement process during the funded year. SCORING CRITERIA AND RUBRIC Grant panelists will receive a copy of the Scoring Rubric as a part of the panelist training materials. The Scoring Rubric is designed to ensure an objective and fair evaluation of the proposed program. The scoring mechanism defines each criterion to be scored by panelists: Cultural Excellence, Out-of-County Marketing, In-County Marketing Impact, Organizational Stability and Potential for Growth. Within each criterion, standard descriptions and corresponding point values are listed to serve as a guide in the scoring process. Grant applicants should use this Scoring Rubric when completing the application. RUBRIC VALUATION VALUE DESCRIPTION SCORE Strongly demonstrates public value of arts and culture. Merits investment of Palm Beach County bed tax funding. Satisfactorily demonstrates public value of arts and culture. Merits investment of Palm Beach County bed tax funding. Does not sufficiently demonstrate public value of arts and culture. Does not merit investment of Palm Beach County bed tax funding Makes an incomplete or inadequate case for the public value of arts and culture. Does not merit investment of Palm Beach County bed tax funding. Information is confusing, unclear and lacks specific details
5 1. Maximum 40 points for Cultural Excellence. Panelists will consider the following information when evaluating for Cultural Excellence points Mission statement clearly describes the organization and the programs and activities fully support the mission. The current proposed cultural programming of exhibits and performances clearly reflects excellence and has a proven ability to draw a diverse audience 3-5 measureable goals are outlined in the application to expand the field or discipline reflecting the organization s mission Points Mission statement describes organization and programs/activities fully support the mission. The current proposed cultural programming reflects a very good cultural form and has the potential to draw a diverse audience. 1-2 measureable goals are outlined in the application to expand the field or discipline reflecting the organization s mission Points Mission statement describes organization and programs/activities do not fully support the mission. The current proposed cultural programming reflects a cultural form but doesn t indicate the potential to draw a diverse audience. No measureable goals are outlined in the application to expand the field or discipline reflecting the organization s mission points Mission statement does not clearly describe organization and programs/ activities do not fully support the mission. The current proposed cultural programming is off mission, does not reflect a cultural form and there is no evidence audience attraction. No efforts are demonstrated to expand the field or discipline in which it specializes. 2. Maximum 20 points for Out of County Marketing Impact Panelists will consider the following information when evaluating Marketing Impact: points Well-defined marketing and promotion plan with 3-5 measureable indicators to attract out-of-county visitors and tourists Points Marketing and promotion plan with 1-2 measurable indicators to attract out-of- county visitors and tourists Points Confusing marketing and promotion plan to attract out-ofcounty visitors and tourists points The marketing and promotion plan is focused on in county marketing or attracting local residents while overlooking out of county visitors. The marketing and promotion plan is confusing, unclear and unrealistic about counting marketing plan includes strategies to increase audience size, number of out of marketing plan includes strategies to increase audience size, marketing plan does not include strategies to increase audience 5
6 county visitors and number of hotel nights to goals greater than the minimum required numbers. number of out of county visitors and number of hotel nights to reach the minimum required numbers. size, number of out of county visitors and number of hotel nights. visitors and tracking hotels nights. Clear evidence of established marketing partnerships with hotels, airlines, trains and others. Unclear or vague marketing partnerships that do not clearly support the programs. No evidence of any marketing partnerships. No evidence of any marketing partnerships. 3. Maximum 10 points for In-County Marketing Impact Panelists will consider the following information when evaluating Marketing Impact: 9-10 Points Well defined marketing and promotion plan with 2-3 measureable indicators to attract in-county residents. 7-8 Points Well defined marketing and promotion plan with at least 1 measureable indicator to attract in-county residents. 5-6 Points Marketing and promotion plan has unclear or no measurable indicators to attract in-county residents. 0-4 Points There is no marketing and promotion plan in the application. marketing plan includes strategies to diversify attendance among in-county visitors through creative partnerships. marketing plan includes strategies to diversify attendance among in-county visitors. marketing plan is unclear about diversifying attendance among in-county visitors. marketing plan does not include strategies to diversify attendance among in-county visitors. Clear evidence of established marketing partnerships. Evidence of partnerships, but does not promote the cultural activities. Unclear or vague marketing partnerships that do not clearly support the programs. No evidence of any marketing partnerships. 6
7 4. Maximum 20 points for Organizational Stability. Panelists will consider the following information when evaluating Organizational Stability: points There is clear evidence that the organization is following best practices in governance, operations and program implementation Points There is clear evidence that the organization is following some best practices in governance, operations and program implementation Points There is little evidence that the organization is following best practices in governance, operations and program implementation points There is no evidence that the organization is following best practices in governance, operations and program implementation. Strong evidence of consistent, multi-year fiscal responsibility. Evidence of consistent, multi-year fiscal responsibility. Evidence of inconsistent multiyear fiscal responsibility. The budget is balanced but hard to understand. There is a financial plan but no diversified revenue stream. A strategic plan is in place but doesn t address the need for endowment building or deficit reduction. Evidence of very inconsistent multiyear fiscal responsibility. The budget is not balanced, hard to understand. There is no financial plan nor a diversified revenue stream. The budget is balanced, easy to understand. There is a strong financial plan and a diversified revenue stream. The budget is balanced, easy to understand. There is a financial plan and a revenue stream. Long term strategic plan is in place for endowment building or deficit reduction. A short term strategic plan is in place for endowment building or deficit reduction. No long term strategic plan in place for endowment building or deficit reduction. 5. Maximum 10 points for Potential for Growth. Panelists will consider the following information when evaluating Potential for Growth: 9-10 Points Clear evidence of one of the following: new/expanded facility; capital campaign; education initiative; expanded inclusion efforts. 7-8 Points Evidence of one of: new/expanded facility; capital campaign; education initiative; expanded inclusion efforts. 5-6 Points Unclear evidence of one of: new/ expanded facility; capital campaign; education initiative; expanded inclusion efforts. 0-4 Points No evidence of an expanded facility; capital campaign; education initiative; expanded inclusion efforts. Applicants must receive a minimum average of 75 points to be considered for funding. 7
8 REIMBURSEMENT GUIDELINES Please note allowable and disallowable expenses when completing the budget spreadsheet and budget narrative. This grant program reimburses for the following allowable expenses: A. Marketing personnel expenses directly related to the program (up to 50% of adjusted salary) B. Outside professional artist services directly related to the program C. Outside professional marketing and PR services directly related to the program D. Other outside professional services directly related to the program E. Space rental directly related to the program F. Marketing and advertising expenses directly related to the program G. Outside artist travel, supplies, and other expenses directly related to the program H. Certain prepayments directly related to the program. This grant will not reimburse for the following disallowable expenses: A. General operating or administrative expenses, including travel, salaries and benefits not related to program B. Rent or mortgage of office building, renovation or remodeling of facilities C. Purchase of permanent equipment, including musical instruments D. Program publications which include solicited advertising E. Advertising or public relations items which do not mention the specific program F. Advertising/printing expenses which omit the Cultural Council, County and TDC logos and/or recognition G. Food expenses H Any payments to students for services rendered I. Any awards, prizes, or contributions J. Other non-program related expenses. 8
9 THE GRANT APPLICATION The link to the online Application can be found on the Cultural Council s website in the Application Toolkit for Category C-II. Council website link: The first time you go to the online application portal, you will be asked to create an account for your organization. Once you have registered and established your login credentials, you can sign into your account and look for available applications. BE SURE TO COMPLETE THE CORRECT APPLICATION FOR YOUR CATEGORY. Application instructions will be made available in the Application Toolkit but you should plan to attend Application Training at the Council. See details below. Application Exhibits Exhibit B1 Projected Program Budget Form is downloadable from website from the Application Toolkit. Note that in-kind revenue must be described on sheet 2 of the Exhibit B1 budget workbook. Exhibit B2 Projected Program Budget Narrative Exhibit B3 Three-Year Program Budget Comparison Contractual Documentation Independent Certified Financial Audit - Include the last two (2) completed financial years or one audit with a two-year comparison. If the applicant s fiscal year-end is less than six months before the applicant interview and an audit is not yet available, the applicant must submit year-end financial statements along with an independent auditor s letter stating the date that the FY 2018 Audit Report will be delivered. All applicants are required to submit the certified Audit Report within six months of fiscal year end in order to remain eligible for funding. Please Note: If the applicant is a division of a larger institution, the applicant must include an audit which identifies direct expenses and revenues for the program. If this is unavailable, the applicant must provide internally prepared financial statements of revenues and expenses for the last two fiscal years. These statements must be signed by the chief financial officer and an authorized official of the larger organization. Other financial documents: Unaudited statements see above. Form 990s may be requested but are not required with initial application. Certified Financial Audit Findings Applicants are required to address, in writing, any of the following issues found in the financial statements: a. Variances greater than 25% in year over year financial statement line items b. Qualified Audit Deficit Reduction Plan signed by Board of Directors If an organization has had significant multi-year, operating deficits and declining fund balances for two years or more, a deficit reduction plan must be attached. The plan must include debt reduction strategies and timeline. Financial statements submitted with an opinion that is other than unqualified may be accepted, subject to review by the grants panel. 9
10 Certificate of Insurance identifying Palm Beach County Board of County Commissioners as additional insured. Authorized Signatory Provide proof of person(s) authorized to sign contracts by submitting information from the Florida Department of State, Division of Corporations found at Include registration copy, board resolution or other evidentiary document. Current State of Florida Solicitation License from the Department of Agriculture. c. A Material Adverse Change from the previous year s audit d. A Single-Year Deficit Board of Directors Provide a list indicating officers and all directors names and cities of residence. Supplemental Materials Optional Letter of Support From partners, constituents and professionals in the field. (Limit 3) Annual Report Marketing Advertising (Limit 1) Performance or Event Review (Limit 1) Additional Supporting Documents brochures, programs, reviews, etc.(limit 7) APPLICATION TRAINING OPTIONS Attendance at training is not mandatory, but STRONGLY recommended. For organizations that participate in training, staff will provide feedback and an opportunity to make corrections to the application after it has been received. Organizations that opt out of the training will NOT have the opportunity to make any changes to their application once it has been received. All of staff s findings that go uncorrected will be forwarded to the panel. Live training: Monday, March 4, :00pm at the Cultural Council. Webinar: Will be available on Friday, March 8, 2019 on the Council s website FOR MORE INFORMATION Contact the Grant Department: Vicky Jackson, Grants Coordinator at (561) or send an to: vjackson@palmbeachculture.com. Jan Rodusky, Chief Grants Officer at (561) or send an to: jrodusky@palmbeachculture.com. 10
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